Saab still waiting for Chinese money

If you’re one of the 10 people that bought a Saab in Australia last month then look away now because Saab’s future is still up in the air. The company is still patiently awaiting investment from its new Chinese partners.

The 70 million euros ($97 million) that the Swedish company needs to remain afloat is still to arrive, meaning Saab’s future remains in the balance as it tries to restructure its debt under court protection.

Despite launching the new Saab 9-5 in Australia, the company has barely produced a new car in the last few months. The 70 million euro is expected to be funded by Chinese car firm Zhejiang Youngman Lotus Automobile, as part of a license agreement.

“The money has not come in yet. We originally thought it would take about two weeks. The process is ongoing, and we will give information as soon as we have the money. It is hard to say exactly when this process will be finished. But it will be soon.” Saab spokesman Eric Geers told Reuters yesterday.

No one really knows how long Saab can survive without the cash injection, but we are certainly hoping it’s long enough for the Chinese authorities to approve the fund transfer.

Apart from owing money to its workers, Saab is reportedly in debt by over 150 million euros to suppliers as well.